Richmond Schools works to fix payroll issues, will pay staff for week of water crisis
Jan 22, 2025
RICHMOND, Va. (WRIC) -- Richmond Public Schools announced its plans to fix payroll issues some of its workforce has been seeing, including taxes being over-withheld. It also promised to pay staff for the week of Richmond's water crisis, which forced the school district to close.
During a Richmond School Board meeting on Tuesday, Jan. 21, board members received an update on payroll from the school district's executive director of budget and finance, Lynn Bragga.
According to Bragga, Richmond Public Schools (RPS) updated its payroll system "to align with new IRS regulations," meaning employees will see a change in how their federal taxes are withheld. This change went into effect as of the paycheck issued on Wednesday, Jan. 15.
However, due to human error, some employees hired in 2019 or earlier had their taxes over-withheld.
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While taxes should be accurately withheld starting with employees' Jan. 31 paycheck, over 1,300 employees are still out of the money erroneously held on their Jan. 15 paychecks. This amount ranges from under $50 to over $400.
According to Bragga, impacted employees have two options: they can do nothing and will simply receive any overcharges in their tax refund when they file their 2025 taxes, or they can request an immediate refund from the payroll department. Said affected employees were reportedly contacted with these options on Jan. 16.
The school district "deeply regret[s]" this error, with Bragga adding that the payroll team has multiple vacancies, is under an increased workload and -- like many throughout Richmond and beyond -- is still coping with the effects of the recent water crisis.
"The water crisis during the week of January 6-10 disrupted and significantly impacted the Payroll team’s standard process and usual deadlines," reads a presentation Bragga provided to the school board. "The team was working on a truncated schedule to ensure timely submission of pay documents for the January 15 paycheck."
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The payroll team has requested additional capacity in the school district's new budget to help it navigate these challenges in the future.
Regarding the water crisis, Bragga added that the school district has a plan for compensating hourly staff for the work they were forced to miss.
"We know that an unplanned week out of work, due to factors well beyond our control, presents significant hardship for our team that is hourly," the presentation reads. "RPS will be honoring our commitment to our people by paying hourly employees for last week due to the water crisis."
Eligible employees are those who are "consistently active" and paid hourly. According to Bragga, the amount an employee receives will be determined by averaging hours worked across the last five pay periods.
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"For example, if you averaged 30, 24, 32, 30 and 24 hours weekly in the last five pay periods, you will be compensated for 28 hours of time for the week of January 6-10," the presentation reads.
This pay will be included in eligible employees' Jan. 31 paycheck.